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HSBC Loyalists Lose Faith After Stock’s $83 Billion Plunge

Forest Products IIII - 2 hours 42 min ago

(Bloomberg) -- HSBC Holdings Plc’s tumbling stock price is testing the patience of even the bank’s most loyal investors.Choi Chen Po-sum, a former vice chair of Hong Kong’s exchange who has owned HSBC shares for more than 40 years, now calls her investment a mistake. Simon Yuen, a money manager who has lobbied unsuccessfully for the bank to reinstate its dividend, says the stock’s slump to a 25-year low may have further to go. Ping An Insurance Group Co., HSBC’s biggest shareholder, has passed on opportunities to express confidence in the bank, saying only that its holding is a “long-term financial investment.”The responses underscore the depth of investor malaise toward HSBC, which has tumbled faster than every other major financial stock globally over the past six months. Even historically upbeat sell-side analysts have mostly turned bearish on the bank amid growing concerns about loan losses and its ability to navigate mounting tensions between the U.S. and China.“I’ve lost faith,” said Choi, 89, who’s chair of National Resources Securities Ltd. in Hong Kong, where scores of individual investors have long considered HSBC to be a core holding. “You want the shares to recover? Don’t even think about it.”HSBC’s Hong Kong shares lost as much as 2.6% as of 11:15 a.m. on Thursday. The stock has tumbled more than 9% so far this week, bringing the year’s decline to 54% and making it the worst performer in the benchmark Hang Seng Index. In London, the shares have fallen about 51%. After losing $83 billion of market value this year, HSBC is now smaller than Commonwealth Bank of Australia and trailing far behind major rivals such as Citigroup Inc.Analysts have never been so downbeat on HSBC, with only 16.7% of 30 who follow the stock having a buy recommendation whereas just two years ago the ratio was 47%. Even after its slump, the bank is valued at 16.3 times forecast earnings for 2020, a pricier level than some peers. Both Citigroup and smaller rival Standard Chartered Plc trade at multiples of about 13.Ping An, which has owned a major stake in HSBC since late 2017, has seen the value of those shares tumble by at least $8.6 billion over the past three years, according to data compiled by Bloomberg.The depth of HSBC’s slump “means even long-term investors are starting to lose confidence in the stock, which is certainly a bad sign,” said Benny Lee, a director at Plotio Financial Group Ltd.HSBC declined to comment on its share performance.The growing disillusion in Hong Kong with the bank’s prospects comes after it earlier this year was among banks forced by U.K. regulators to scrap its dividend, causing an uproar with the city’s broad base of retail investors. It has also rankled China over its participation in the American investigation of Huawei Technologies Co.Concerns are mounting that the bank’s expansion in China will be derailed after the ruling Communist Party’s Global Times newspaper reported over the weekend that HSBC could be named an “unreliable entity.” Penalties for companies that appear on the list include restrictions on trade, investments and visas. HSBC has declined to comment on the article.“Should it be on the list, even without tough measures taken, its mainland China business would likely be adversely impacted as its clients reduce transactions,” Citigroup analysts led by Yafei Tian wrote in a note on Tuesday. “Mainland China clients in HK might also avoid unnecessary transactions with HSBC HK. In a worst case scenario, HSBC might be forced to divest its investments in mainland China.”Read more: How Blacklisting ‘Entities’ Became a Trade War Weapon: QuickTakeHSBC Chief Executive Officer Noel Quinn last month warned about tough times ahead while reporting that first-half profit halved and predicting loan losses could swell to $13 billion this year. Quinn said the bank would attempt to hasten a shakeup of its global operations, accelerating a further pivot into Asia as its European operations lose money.Some investors aren’t convinced it’s enough.In Hong Kong’s derivatives market, the second-most traded HSBC stock option on Thursday was a bearish contract betting the shares will drop to HK$18.50 by the end of December. That implies a downside of more than 30% from HSBC’s current levels. The most traded option was a bullish call that expires next week at HK$30, with the contract losing three-quarters of its value.“The share price will hardly recover in the near term and there’s still room for a further decline,” said Yuen, founder of Surich Asset Management. “Hong Kong investors’ love for HSBC is still there, but it’s indeed heartbreaking. The times have changed.”(Updates with HSBC options trading in the penultimate paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

Gold extends losses to fourth day on dollar rally

Forest Products IIII - 3 hours 57 min ago

Spot gold was down 0.7% at $1,851.51 per ounce by 0553 GMT, extending falls into a fourth session. U.S. gold futures were down 0.8% to $1,853.10. The dollar index held firm near a more than eight-week high against rival currencies, as signs of an economic slowdown in Europe and the United States revived concerns about the fallout from a second wave of COVID-19 infections.

Volkswagen All-Electric ID.4 SUV To Sell For $40K In US

Forest Products IIII - 5 hours 49 min ago

Volkswagen AG (OTC: VWAGY) held a "digital world premier" for its ID.4 electric SUV on Wednesday.What Happened: The electric SUV has a range of almost 320 miles and a top speed of nearly 100 miles per hour, Volkswagen said in a statement. The suggested retail price for the vehicle in the United States is $40,000, according to The Verge. Rival Tesla Inc (NASDAQ: TSLA) prices the "long range" Model 3 sedan at $40,690, as per its website. That vehicle delivers a range of 322 miles and a top speed of 145 miles per hour.The lowest-cost version of the yet to be released Tesla Cybertruck is listed at $39,900 and delivers over 250 miles in range.Why It Matters: The ID 4 went into production in Germany in August and manufacturing is slated to begin in Chattanooga, Tennessee in 2022, according to CNN. Volkswagen has ambitions to dominate the world market in electric vehicles and plans to invest nearly $13 billion by 2024 to that end, according to its CEO Ralf Brandstatter.The German car giant will produce 1.5 million electric cars by 2025 and nearly half a million of these would be ID.4 units, the Volkswagen CEO revealed earlier this month. Tesla CEO Elon Musk took the company's ID.3 EV for a test drive and got a preview of the rest of the ID line when he met Brandstatter earlier this month in Germany.Price Action: Volkswagen OTC shares closed 1.58% lower at $16.81 on Wednesday.Photo courtesy: Volkswagen AGSee more from Benzinga * Volkswagen Has A Very Ambitious Production Target For Its Electric Vehicle Line * What Elon Musk Thinks Of Bill Gates' Knowledge About Electric Vehicles * Tesla Model Y A 'Thought Through' Car, Volkswagen CEO Showers Praise After Test Drive(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Gilead to pay $97 million to settle U.S. kickback probe

Forest Products IIII - 6 hours 24 min ago

Gilead Sciences Inc has agreed to pay $97 million to resolve U.S. government claims it used a purportedly independent charity to pay illegal kickbacks to cover Medicare patients' out-of-pocket costs for its pulmonary arterial hypertension drug Letairis. The U.S. Department of Justice said on Wednesday the settlement resolves allegations that Gilead improperly used the Caring Voice Coalition as a conduit to cover thousands of patients' co-payment obligations. "Gilead used data from CVC that it knew it should not have, and effectively set up a proprietary fund within CVC to cover the co-pays of just its own drug," U.S. Attorney Andrew Lelling in Boston said in a statement.

Two Ways To Win Big On The Oil Price Rebound

Forest Products IIII - 8 hours 35 min ago

Aggressive investors who know how to balance risk and reward are likely to be the biggest winners as oil prices rebound from record lows

Stock market news live updates: Stock futures trade mixed after selloff

Forest Products IIII - 9 hours 51 min ago

Stock futures traded mixed Wednesday evening, but mostly hugged the flat line as equity investors took a pause from the heavy selling earlier in the day.

ARK Invest's Tasha Keeney on biggest takeaways from Tesla's battery day

Forest Products IIII - 10 hours 7 min ago

Tasha Keeney, an analyst at ARK Invest, joined The Final Round to recap Tesla's battery day, discuss her biggest takeaways, and her outlook for the stock through the rest of the year.

Is Gold’s Rally Over? Here Are Five Key Charts to Watch

Forest Products IIII - 10 hours 15 min ago

(Bloomberg) -- Gold’s slump this week is forcing investors to ask whether the haven asset is taking a breather or facing an even sharper decline.Unprecedented global stimulus, negative real rates and a weakening dollar pushed bullion to a record high above $2,075 an ounce in early August. While some banks, including Goldman Sachs Group Inc. and Bank of America Corp., forecast even higher prices, a resurgent dollar has seen gold give up some of its gains.Is this merely a temporary setback for the precious metal? Here are five charts that provide hints as to where gold goes next:Dollar DominanceThe key driver of gold right now is the dollar. This week the U.S. currency strengthened, even as the Federal Reserve remained ultra dovish on interest rates. The dollar’s newfound vigor is linked to fading hopes of more stimulus from the U.S. That’s depressed gold, even as Covid-19 infections spike across Europe and fatalities exceed 200,000 in the U.S.“The firm U.S. dollar is like a millstone around the neck of precious metals prices, and is putting pressure on gold despite increased risk aversion,” Carsten Fritsch, an analyst at Commerzbank AG, wrote in a note. Still, Fed policy will remain expansionary for years, so “the strength of the dollar is hardly likely to last,” he said.Plateauing RatesGold’s investment appeal over the summer was burnished as real treasury rates slid deeper into negative territory. Since early August, those rates have been flat, and it will take a significant boost to inflation expectations to drive them lower.Breakevens -- measures that draw on pricing of nominal and inflation-linked Treasury debt to create a proxy for price gains -- have been declining since August. With the global economic recovery stuttering as the virus flares, inflation is unlikely to be uppermost in the minds of investors, according to Ole Hansen, head of commodity strategy at Saxo Bank A/S.Key MilestonesGold’s decline this week gathered momentum after it slipped below its 50-day moving average, which technical traders can take as a signal to sell. The metal’s next key threshold -- the 100-day moving average -- should provide some resistance to falling prices. However, a drop below that level could trigger further selling. Spot gold fell 1.9% to close at $1,863.34 an ounce on Wednesday, the lowest level since July 21.ETF WatchersInvestors’ favorite way of buying gold this year has been through exchange-traded funds, which have added 870 tons of bullion. After gold slipped on Monday, ETFs saw their largest inflows in at least a year as investors bought the dip. However, a second day of price declines didn’t spark the same appetite, with some selling of bullion-backed funds, according to preliminary data compiled by Bloomberg.“ETFs increased in recent days and now they pause to see what will happen,” said Georgette Boele, a precious metals strategist at ABN Amro Bank NV. “If weakness continues, they will sell quickly again.”Volatile ElectionOver the past 20 years, gold has tended to move both in the lead up to and aftermath of U.S. presidential elections as investors weigh the potential impact on the dollar, treasury yields and global political risk. November’s election will potentially be the most fraught in decades, fomenting uncertainty that gold will surely enjoy.(Updates with closing prices in eighth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

3 “Perfect 10” Stocks to Watch as Volatility Within the Market Continues

Forest Products IIII - Wed, 23/09/2020 - 23:54

From the end of March through the end of August, stocks had a tremendous runup to record high levels. The gains completely wiped out the losses from the mid-winter ‘coronavirus collapse,’ and it looked like we were in for a sustained run of good days. But all of that changed as September rang in. The market hit a bump, and has been undergoing a correction. It’s at times like these that some comprehensive stock analysis is most helpful. TipRanks has the right tool for that job: the Smart Score, which analyzes 8 separate factors from the TipRanks database, all collected and measured by AI algorithms, and uses them to generate a simple, comprehensive score for the market’s most traded stocks. The Smart Score measures the traditional factors of stock analysis, including the technical and fundamental analyses, as well as the conventional wisdom on a stock, through analyst, blogger, and news sentiment, and the collective investor views, through hedge activity, insider trading, and individual investor activity. The result is an aggregate, a single number that points out the stock’s likely forward path.With this mind, we’ve used the TipRanks database to pinpoint three stocks with “perfect 10” Smart Scores. We’ll see why these companies scored so highly, and what Wall Street’s analysts have to say about it.Camping World Holdings (CWH)We’ll start with a company that has a unique advantage during these pandemic days. Camping World Holdings is the largest retailer of RVs in the US, along with their related camping and maintenance gear, and the support services and insurance plans required to keep up such a vehicle. CWH has more than 200 retail locations in its network, operating in 36 states.After taking one-time administrative losses in Q4 of last year, CWH saw earnings improve in 1Q20, and improve further in the second quarter. Q2 earnings, at 69 cents per share, beat the forecast by 43%. Quarterly revenue rose 56% sequentially, to reach $1.61 billion. The company also boasted over $227 million in available cash at the end of the quarter.Strong sales for an RV company make sense this summer. The coronavirus pandemic has forced imposition of social distancing measures in many states, and RVs are a recreation that is inherently compatible with such restrictions.Ryan Brinkman, covering the stock for JPMorgan, commented, “…structural demand tailwinds relative to consumers looking to travel in such a way as to avoid contraction of COVID-19 seems set to continue to more than outweigh the cyclical headwinds impacting demand in many other end-markets. This growing demand, coupled with the company’s improved execution that resulted in breakout 2Q EBITDA performance, assuages earlier concerns relative to execution and leverage.”To this end, Brinkman rates the stock an Overweight (i.e. Buy), and his $44 price target implies an upside of 50% for the coming year. (To watch Brinkman’s track record, click here)Overall, Camping World Holdings has a Moderate Buy analyst consensus rating, based on an even split of 4 Buy reviews and 4 Holds. The shares are selling for $29.20, and the average price target of $38.86 suggests a one-year upside potential of 33%. (See CWH stock analysis on TipRanks)Home Bancshares (HOMB)Next up is a bank holding company, Home Bancshares, whose subsidiaries have over 160 branches catering to snowbirds in Florida, Alabama, Arkansas, and New York City. The company boasts a $2.4 billion market cap, and $16.9 billion in total assets.Home Bancshares stock has only partially recovered its share price since the mid-winter swoon – in that, the company has performed like many other bank companies so far this year. The corona pandemic and social and business restrictions put a damper on brick and mortar bank branch traffic. But HOMB’s revenues and earnings have outperformed. Revenues for Q2, at $171.6 million, are the highest in a year, and earnings clobbered the forecasts in both Q1 and Q2. The second quarter result, of 47 cents per share, was 80% better than expected.In July, HOMB declared its fiscal Q3 dividend, of 13 cents per common share, paid on September 2. This is the sixth consecutive quarter with the dividend at this level. The payment annualizes to 52 cents per share, and gives a yield of 3.54%. While that may not sound like much, the average dividend yield among S&P listed companies is only 2%.Singing the banking name's praises is Piper Sandler analyst Stephen Scouten."Given that the bank is seeing improved occupancies at many of its hotel categories, seeing recent weighted-avg rent collection of 83% in retail, and possesses a 2.15% LLR (ex PPP) - we continue to view the bank as well-reserved and well-positioned to take advantage on the other side of this recession," Scouten opined. Scouten’s $19 price target suggests a 30% upside potential, supporting his Overweight (i.e. Buy) rating. (To watch Scouten’s track record, click here)Overall, Home Bancshares has a Moderate Buy analyst consensus rating, based on 5 reviews split 3 to 2 between Buys and Holds. The stock has an average price target of $18.40 and a current trading price of $14.68, implying a 12-month growth potential of 26%. (See HOMB stock analysis on TipRanks)Agree Realty Corporation (ADC)Last on our "perfect 10" list is a real estate investment trust (REIT) based in the Metro Detroit area. Agree Realty has a huge portfolio – 935 properties in 46 states totaling over 18 million square feet of leasable space. The company’s portfolio is focused on shopping centers and single tenant retail properties.Where many REITs had difficulty during the pandemic’s height in collecting rents, Agree has been remarkably successful in that area. The company reports that it has received rents from 91% of its portfolio for the second quarter, and has deferral agreements for another 3%. Preliminary Q3 numbers are even better – for July, the company has a 95% rent payment rate, and for August, 96%.Collecting rents ensures income, and that in turn ensures earnings. Revenues for 1H20 have been rising modestly, from $55.8 million in Q1 to $57.5 million in Q2. EPS rose sequentially in the first quarter, but slipped in the second – yet, the Q2 EPS still beat the forecast by 5.5%.Agree’s firm financial foundation allowed it to raise the dividend payment during the pandemic period, setting the payment at 60 cents per common share. With an annualized payment of $2.40 and a yield of 3.75%.Berenberg analyst Nate Crossett notes the high rent collection, and its implication for the company’s profitability."We are very encouraged by this data point, and believe that the ultimate amount of losses via rent reductions/credit events will be minimal [...] With a strong acquisition engine driving AFFO growth (bolstered by a significant cost of capital advantage [shares trading at 125% of NAV, versus net lease at 99%]), and pro forma leverage (1.6x net debt/EBITDA) the lowest in the space, we believe ADC is poised to continue to outperform the net lease group in H220."Accordingly, Crossett rates ADC a Buy, and his $78 price target implies room for a 25% upside potential. (To watch Crossett’s track record, click here)All in all, Agree Realty has a unanimous ‘Strong Buy’ analyst consensus rating, based on 7 Buy reviews. The shares are selling for $62.30 and have an average price target of $77.17, making the upside potential 24% for the coming year. (See ADC's stock analysis at TipRanks)To find good ideas for stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a newly launched tool that unites all of TipRanks’ equity insights.Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.

Insiders Sell Stock at Fastest Pace Since 2012 in Market Dip

Forest Products IIII - Wed, 23/09/2020 - 23:46

(Bloomberg) -- A group of investors who correctly timed the stock market’s bottom in March isn’t bargain hunting yet during the current selloff. Instead, they’re stepping up sales, flashing an ominous signal to any dip buyers.Corporate executives and officers at S&P 500 companies were busy unloading shares of their own firms over the last four weeks. The selling picked up so much versus buying that a measure of insider velocity tracked by Sundial Capital Research pointed to the fastest exit from stocks since 2012.While factors other than valuations can influence insiders’ decisions to sell, the action from this cohort -- likely the most-knowledgeable about their own businesses -- is hardly encouraging news in a market where the S&P 500 is heading for its worst September since the global financial crisis. The index’s 2.4% plunge on Wednesday extended its retreat from the Sept. 2 record to 9.6% and left it little changed in 2020.“They’re voting with their feet,” said Dan Genter, chief executive officer of RNC Genter Capital Management. “It’s not an indictment saying their company is not going to do well in the future. But on a relative-value basis, we’re not going to do that well.”Insiders sold about $975 million worth of shares last week, more than double the previous week, according to Securities and Exchange Commission data compiled by Bloomberg. Their purchases increased by roughly 10% to $11 million.Microsoft Corp. Chief Financial Officer Amy E. Hood and Corning Inc. Chief Executive Officer Wendell P. Weeks are among executives who sold shares this month.The surge in selling is a marked departure from the dip-buying mentality seen in March, when corporate insiders scooped up shares as stocks fell into the fastest bear market on record. Right now, the S&P 500 is cheaper than it was three weeks ago, but it’s still not the bargain it was in March.At 21 times forecast earnings, the S&P 500’s multiple sits more than two points below the level seen on Sept. 2, when a five-month, 60% rally drove valuations to the highest since the dot-com era. Still, the ratio dipped below 14 in March.“It was obviously a great buying opportunity given the sharp pullback in stock prices earlier this year and expectations that we would come out on the other side and global economic activity would resume thanks to the timely and assertive response from policy makers,” said Candice Bangsund, portfolio manager of global asset allocation at Fiera Capital Corp. “It’s likely a valuation story with those numbers now trailing off -- particularly as many companies bounced back so forcefully since those March lows.”Moreover, there is a long list of macro risks, including dwindling chances of a new congressional stimulus package, worrying Covid-19 trends worldwide, and heightened tensions between the U.S. and China. Not to mention the presidential election in November. All portend risks that are enough to threaten the budding economic recovery.“There is this sense of hesitation and pause among business owners awaiting a number of uncertainties that are out there in the face of relatively full valuations,” said Kevin Caron, portfolio manager for Washington Crossing. “Business owners, CEOs, investors are now in this phase of, where do we go from here?”(Updates with examples of insider sales in sixth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

Nike is 'just getting started' after blowing away investor expectations

Forest Products IIII - Wed, 23/09/2020 - 23:20

Analysts believe that investments Nike has made in its digital business since former tech CEO John Donahoe took the helm this year are just starting to pay off.

SPI Energy Soars More Than 1,200% on Electric Vehicle Plans

Forest Products IIII - Wed, 23/09/2020 - 22:26

(Bloomberg) -- The hunt for renewable energy stocks sent one obscure firm soaring more than 4,000% in a single day, albeit with a tiny amount of shares on the market.SPI Energy Co., which was trading around a buck Tuesday, rocketed as high as about $47 per share after launching a unit to design and develop electric vehicles and charging solutions Wednesday. The new unit was dubbed EdisonFuture, seemingly inspired by Thomas Edison and his rivalry with the scientist whose name has been invoked by two companies in the electric vehicle sector, Nikola Corp. and Tesla Inc. By the close of trading Wednesday, SPI stock gained 1,237% to $14 a share and triggered at least seven volatility trading halts over four hours. Trading volume Wednesday topped 340 million shares, more than 700 times its usual activity. The company has about 14.8 million shares outstanding, along with a float of about 7.4 million, according to data compiled by Bloomberg. “With the addition of EV and EV charging segments to our diverse solar business, we are positioning SPI Energy for the future of renewable energy,” Xiaofeng Peng, the company’s chief executive offer said in a statement Wednesday.EVs have garnered extra attention after Nikola Corp.’s founder recently stepped down amid allegations of misleading investors.SPI’s operating headquarters are in Santa Clara, California, with operations in Asia, Europe, North America and Australia.(Updates closing share price.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

Nikola's Hunt For Hydrogen Station Partner Stalled – WSJ

Forest Products IIII - Wed, 23/09/2020 - 21:52

Nikola Corp. (NASDAQ: NKLA) promised investors it would name a co-developer for its hydrogen fueling stations by the end of the year. Talks have stalled because of a short seller report attacking the integrity of the company's founder, The Wall Street Journal reported Wednesday.The Journal report kept pressure on Nikola's stock price. Shares were trading 10.84% lower at $25.42 intraday Wednesday. They have plummeted from their intraday high of $93.99 on June 8, a few days after going public in a reverse merger.Concluding the search for a station partner is one of three commitments Nikola made in April before the company went public. Nikola made good on the other pledges: On Aug. 10,, Republic Services (NYSE: RSG) ordered 2,500 battery-electric refuse trucks. Nikola announced an agreement Sept. 8 with General Motors Co. (NYSE: GM) to manufacture the Badger electric pickup truck. GM also would take an 11% stake in the company.Talks ‘with several potential partners'Citing "people familiar with the matter" the Journal reported that talks with "several potential partners, including BP PLC (NYSE: BP Plc), stalled. Short seller Hindenburg Research alleged in a Sept. 10 report that founder Trevor Milton misled investors about Nikola's technology.The setback is the first outward indication that the controversy around the report is impacting the startup's ability to execute its business plan, the Journal said.Nikola Chief Financial Officer Kim Brady said during a virtual chat with Evercore ISI analysts on Tuesday that "nothing has changed" in the company's business plan following Milton's sudden resignation as executive chairman. His departure was first reported by FreightWaves on Sunday night.Search for a partner continues Nikola CEO Mark Russell told analysts from Morgan Stanley last week that the search for a hydrogen station partner continues. He laid out criteria Nikola is seeking in a partner. Russell specifically mentioned access to electricity. Power to make hydrogen through splitting water into hydrogen and oxygen accounts for as much as 85% of the station cost, Brady said.Potential partners have been reluctant to move forward amid the heightened scrutiny, but a deal could still come together, the Journal reported."Nikola doesn't comment on rumors or speculation," a spokeswoman told FreightWaves. BP also declined comment.Short seller Hindenburg claims ‘a big win'In a separate story Wednesday profiling Hindenburg Research founder Nathan Anderson, the Journal said Anderson told the newspaper that betting Nikola shares would decline in value based on its report has been "a big win." He declined to say how much money his five-person firm has made from the trades."We are short and still are short," Anderson told the Journal.Related articles: Nikola will truck hydrogen to stations when electricity costs too muchBreaking News: Trevor Milton out at Nikola MotorNikola explains what it does and doesn't do on electric trucksClick for more FreightWaves articles by Alan Adler.See more from Benzinga * Fast Track To Public Listings Dealt A Blow Amid Nikola Fallout * Nikola: Gravity Of Allegations – WHAT THE TRUCK?!? (With Video) * Steve Girsky Replaces Trevor Milton At Embattled Nikola (With Video)(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Vaxart: Watch Out for This Underdog in the COVID-19 Vaccine Race

Forest Products IIII - Wed, 23/09/2020 - 21:51

First mover advantage is not to be sniffed at. However, history is littered with first movers being usurped by latecomers. Could vaccine specialist Vaxart (VXRT) join the list of late disruptors?The small-cap biotech is far behind its mostly bigger competitors in the development of a COVID-19 vaccine. Yet, after its investigational new drug (IND) application was approved by the FDA last week, Vaxart can finally proceed with the Phase 1 trial of its candidate, which is expected to kick off by the end of the month.H.C. Wainwright analyst Vernon Bernardino believes the biotech’s offering already boasts one significant differentiator to mark it as a viable contender.“We believe initiation of first-in-human studies with an oral vaccine for SARS-CoV-2 is highly anticipated, as this route of administration, in our opinion, would present significant logistical storage and distribution advantages in the broad and rapid vaccination of the estimated 330M people in the U.S. and the over 7B global population,” Bernardino noted. As Bernardino notes, Vaxart’s unique selling proposition is that its potential vaccine is in tablet form.With the majority of SARSCoV-2 vaccine candidates currently requiring two doses to be taken 2-3 weeks apart, the administration of billions of doses could lead to a serious logistics headache.“In contrast,” Bernardino said, “Vaxart aims to develop doses of its oral tablet vaccine that could potentially be mailed to individuals or health care centers that would only need to be administered once.”What’s more, Vaxart reported encouraging preclinical results recently which further supports its case.Bernardino believes the data “suggested that the Vaxart’s vaccine induces immunogenicity on three levels: (1) induction of potent serum neutralizing antibodies to the viral S protein; (2) induction of a mucosal immune response; and (3) induction of T cell responses.”While the full results are not yet available, Bernardino believes Vaxart’s vaccine will be “competitive with the leading vaccine candidates currently in Phase 3 study.”So, what does it all mean for investors? Bernardino sticks to his Buy rating while reiterating a $17 price target. This figure implies a substantial 134% upside from current levels. (To watch Bernardino’s track record, click here)Vaxart has slipped under most analysts’ radar; the stock’s Moderate Buy consensus is based on just two recent Buy ratings. With shares trading at $7.34, the $19.50 average price target suggests room for 166% upside. (See Vaxart stock analysis on TipRanks)To find good ideas for stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a newly launched tool that unites all of TipRanks’ equity insights.Disclaimer: The opinions expressed in this article are solely those of the featured analyst. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.

'Halftime Report' Traders Advise Viewers On AMD, Salesforce And More

Forest Products IIII - Wed, 23/09/2020 - 21:50

On CNBC's "Fast Money Halftime Report," Jim Cramer advised a young investor to invest a half of his portfolio to risky asset. He explained that the viewer can buy an aggressive growth fund or he can try to pick stocks. The other half should be invested in the S&P500, thinks Cramer.Joe Terranova thinks it's time to buy Old Dominion Freight Line Inc (NASDAQ: ODFL). He thinks it's a quality transport name and it has 100% U.S. exposure.Stephanie Link likes Advanced Micro Devices, Inc. (NASDAQ: AMD). It's a new long position for her. She said Intel gave it a three-year lead in 7-nanometer processors and she sees that as a game changer.Karen Firestone said salesforce.com, inc. (NYSE: CRM) had an incredible quarter and the stock jumped 26%. It has come back over 10%. She likes Salesforce a lot and she would hold it. She added that it's definitely not a cheap stock.See more from Benzinga * 'Halftime Report' Traders Weigh In On American Express * 'Fast Money Halftime Report' Picks For September 23: Chipotle, VF Corp And More * Cramer Shares His Thoughts On eBay, Fastly And More(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

PPP round 2 could do a lot to support small business, Fed chair Powell says

Forest Products IIII - Wed, 23/09/2020 - 21:48

PPP is a better option than the Fed's lending facility, Powell said.

Stocks fall as Trump's re-election odds drop: analyst

Forest Products IIII - Wed, 23/09/2020 - 21:42

Investors are laser focused on the impact of the elections as President Trump’s odds of winning reelection continue to align with stock prices.

Twitter soars on Pivotal upgrade

Forest Products IIII - Wed, 23/09/2020 - 21:39

Shares of Twitter jumped on Wednesday, outperforming the broader market, following an upgrade at Pivotal Research Group. The firm also boosted its price target on the stock to $36. The bullish call comes on optimism for advertising as live sports and events return and a potential subscription business. The Final Round panel discusses.

The Nikola scandal proves even GM will do anything to catch up to Tesla

Forest Products IIII - Wed, 23/09/2020 - 21:35

Tesla's lead in electric vehicle technologies has other automakers making desperate moves to catch up.


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